Please Explain! The Proponents Of The Retrospective Law Change Need To Front Up
That's the call from Scott Russell, the lawyer leading the Banking Class Action against ANZ and ASB, who has formally written to Cameron Brewer, MP as Chair of Parliament's Finance and Expenditure Committee urging him to call key decision-makers and proponents of the Credit Contracts and Consumer Finance Amendment Bill to publicly explain the rationale for this extraordinary intervention. The Committee has the power to compel individuals to appear and a more clear-cut case for using that power would be hard to imagine.
'The Government is rewriting the law half-way through an active legal case to benefit two powerful Australian-owned banks – and no one seems to be taking responsibility for making the decision,' said Russell. 'Hon Scott Simpson, Commerce Minister says the banks didn't ask for it. The banks haven't commented. MBIE won't release the documents. And the public is being asked to accept it all on blind trust. Enough. It's time for answers.'
Russell's submission urges the Select Committee to summon the following to 'Please Explain':
The Chair and Chief Executives of ANZ and ASB to explain their role in the process;
Senior MBIE officials to justify the sudden shift to retrospective legislation following private meetings with the banks;
The Reserve Bank to provide any evidence backing claims that the law change is needed to protect financial stability.
'If their rationale is sound, let's hear it. Because right now, no one has offered a credible explanation for why a law change ruled out during the public consultation stage was suddenly resurrected behind closed doors – and timed perfectly to potentially limit the liability of two banks in a live court case.'
The Government has refused to release unredacted versions of the Regulatory Impact Statement and delayed key OIA responses until after the public submission period closes on 23 June. The Ombudsman is now investigating.
'The Select Committee process cannot be allowed to rubber-stamp a law change that overrides consumer rights and undermines public trust – especially when those responsible won't even show up to explain it,' Russell said. 'If this is in the public interest, let the public hear why.'
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